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2004•MADOC (University of Mannheim)Requires access

Ambiguity and Public Good Provision in Large Societies

R. W. Bailey, Jürgen Eichberger, David Kelsey

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Abstract

In this paper we consider the effect of ambiguity on the private provision of public goods. Equilibrium is shown to exist and be unique. We examine how provision of the public good changes as the size of the population increases. We show that when there is uncertainty there may be less free-riding in large societies.

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What this paper is about

In this paper we consider the effect of ambiguity on the private provision of public goods. Equilibrium is shown to exist and be unique. We examine how provision of the public good changes as the size of the population increases. We show that when there is uncertainty there may be less free-riding in large societies.

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Available abstract

In this paper we consider the effect of ambiguity on the private provision of public goods. Equilibrium is shown to exist and be unique. We examine how provision of the public good changes as the size of the population increases. We show that when there is uncertainty there may be less free-riding in large societies.

Key concepts: Ambiguity, Public good, Private good, Public economics, Population, Economics, Microeconomics, Business

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